The New EU Framework Programme for Research and Innovation HORIZON 2020 Octavi Quintana Trías European Commission - Principal Adviser

Investment in R&D is part of the solution to exit from the economic crises

What is Horizon 2020 An €80 billion research and innovation funding programme ( ); A core part of Europe 2020, Innovation Union & European Research Area: − Responding to the economic crisis to invest in future jobs and growth − Addressing people’s concerns about their livelihoods, safety and environment − Strengthening the EU’s global position in research, innovation and technology

What's new A single programme bringing together three separate programmes/initiatives* Coupling research to innovation – from research to retail, all forms of innovation Focus on societal challenges facing EU society, e.g. health, clean energy and transport Simplified access, for all companies, universities, institutes in all EU countries and beyond  The 7 th Research Framework Programme (FP7), innovation aspects of Competitiveness and Innovation Framework Programme (CIP), EU contribution to the European Institute of Innovation and Technology (EIT)

Three priorities Excellent science Industrial leadership Societal challenges

Priority 1. Excellent science Why: World class science is the foundation of tomorrow’s technologies, jobs and wellbeing Europe needs to develop, attract and retain research talent Researchers need access to the best infrastructures

European Research Council (ERC) Frontier research by the best individual teams Future and Emerging Technologies Collaborative research to open new fields of innovation Marie Skłodowska-Curie actions (MSCA) Opportunities for training and career development6 162 Research infrastructures (including e-infrastructure) Ensuring access to world-class facilities2 488 Priority 1. Excellent science Proposed funding (€ million, )

Priority 2. Industrial leadership Why: Strategic investments in key technologies (e.g. advanced manufacturing, micro-electronics) underpin innovation across existing and emerging sectors Europe needs to attract more private investment in research and innovation Europe needs more innovative small and medium-sized enterprises (SMEs) to create growth and jobs

Leadership in enabling and industrial technologies (LEITs) (ICT, nanotechnologies, materials, biotechnology, manufacturing, space) Access to risk finance Leveraging private finance and venture capital for research and innovation Innovation in SMEs Fostering all forms of innovation in all types of SMEs complemented by expected 20% of budget of societal challenges + LEITs and 'Access to risk finance' with strong SME focus Priority 2. Industrial leadership Proposed funding (€ million, )

Priority 3. Societal challenges Why: Concerns of citizens and society/EU policy objectives (climate, environment, energy, transport, etc) cannot be achieved without innovation Breakthrough solutions come from multi-disciplinary collaborations, including social sciences & humanities Promising solutions need to be tested, demonstrated and scaled up

Priority 3. Societal challenges Proposed funding (€ million, )  Additional funding for nuclear safety and security from the Euratom Treaty activities ( ) Health, demographic change and wellbeing7 472 Food security, sustainable agriculture and forestry, marine and maritime and inland water research and the Bioeconomy Secure, clean and efficient energy *5 931 Smart, green and integrated transport6 339 Climate action, environment, resource efficiency and raw materials Inclusive, innovative and reflective societies1 310 Secure societies1 695 Science with and for society462 Spreading excellence and widening participation816

Horizon 2020 and partnering Public private partnerships: Through Joint Technology Initiatives or other formal structures (Art. 187) Through contractual agreements, which provide inputs for work programmes Only when criteria met, e.g. clear commitments from private partners Public public partnerships: Through « ERA-Nets » for topping up individual calls/actions (replacing current ERA-Net, ERA-Net Plus, Inco-Net, Inno-net) Through participation in joint programmes between Member States (Art. 185) Supporting agendas of Joint Programming Initiatives when in line with Horizon 2020 Only when criteria met, e.g. financial commitments of participating countries European Innovation Partnerships: Not funding instruments, but for coordination with broader policies and programmes

Innovation Investment Package €22 billion Innovation Investment Package Joint Technology Initiatives (under Article 187) Innovative Medicines Initiative 2 Clean Sky (Aeronautics) 2 Fuel Cell and Hydrogen 2 Bio-based Industries Electronic components and systems Joint programmes (under Article 185) European and Developing Countries Clinical Trials Partnership (EDCTP) 2 European Metrology Research Programme 2 Eurostars (for SMEs) 2 Active and Assisted Living 2

Benefits of Partnerships Joint Technology Initiatives (with industry) Industry driven research agenda Fixed budget for 7 years to leverage more industry investment Sector structuring to achieve impact Coverage of longer value chains and interrelated sectors Higher level of SME participation (30%) than in FP7 Links and synergies with Structural and Investment Funds Joint programmes (with Member States) Link to national programmes Leverage effect Industry involvement Cross-border collaboration

Simplification: Rules for Participation 1. A single set of rules: Adapted for the whole research and innovation cycle Covering all research programmes and funding bodies Aligned to the Financial Regulation, coherent with other new EU Programmes 2. One project – one funding rate Maximum of 100% of the total eligible costs (except for innovation actions, where a 70% maximum will apply for profit making entities) Indirect eligible costs: a flat rate of 25% of direct eligible costs 3. Simple evaluation criteria Excellence – Impact – Implementation (Excellence only, for the ERC) 4. New forms of funding aimed at innovation pre-commercial procurement, inducement prizes, dedicated loan and equity instruments 5. International participation facilitated but better protecting EU interests

Simplification: Rules for Participation 6. Simpler rules for grants broader acceptance of participants accounting practices for direct costs, flat rate for indirect costs, no time-sheets for personnel working full time on a project, possibility of output-based grants 7. Fewer, better targeted controls and audits Lowest possible level of requirements for submission of audit certificates without undermining sound financial management Audit strategy focused on risk and fraud prevention 8. Improved rules on intellectual property Balance between legal security and flexibility Tailor-made IPR provisions for new forms of funding A new emphasis on open access to research publications Beyond the Rules: further simplified provisions in the Grant Agreement and implementing procedures to facilitate access to Horizon 2020 (e.g. common IT platform).

Contributing to the European Research Area (ERA) ERA framework proposal in 2012 to create a single market for knowledge research and innovation Complemented by Horizon 2020: Boosting support to ERA priorities – mobility, infrastructures, knowledge transfer, policy learning Stronger partnerships with Member States and private sector to invest more efficiently Taking account of gender, ethical issues, researcher careers and open access to results

Strong participation by SMEs Integrated approach - around 20% of the total budget for societal challenges and LEITs to go to SMEs Simplification of particular benefit to SMEs (e.g. single entry point) A new SME instrument will be used across all societal challenges as well as for the LEITs A dedicated activity for research-intensive SMEs in 'Innovation in SMEs' 'Access to risk finance' will have a strong SME focus (debt and equity facility)